26 Mar 2015
The CAD has stopped falling - TDS
FXStreet (Guatemala) - Analysts at TD Securities explained that the CAD has stopped falling but there are clear impediments to anything other than a trading correction in the sell-off.
Key Quotes:
"Weak growth, low oil prices and the lingering risk of more BoC policy action suggests that USD/CAD dips in Q2 are a buying opportunity for a H2 rebound."
"The BoC will remain very sensitive to changes i n the outlook a s the oil shock works its way through the economy, but the most likely course for the BoC is to stay a t 0.75% a s long a s financial conditions remain accommodative and the US outlook i s strong."
"Ongoing threat of easing will anchor front-end yields however, with curve steepening once Treasuries begin to sell-off. CanadaUS spreads look fair at current levels."
Key Quotes:
"Weak growth, low oil prices and the lingering risk of more BoC policy action suggests that USD/CAD dips in Q2 are a buying opportunity for a H2 rebound."
"The BoC will remain very sensitive to changes i n the outlook a s the oil shock works its way through the economy, but the most likely course for the BoC is to stay a t 0.75% a s long a s financial conditions remain accommodative and the US outlook i s strong."
"Ongoing threat of easing will anchor front-end yields however, with curve steepening once Treasuries begin to sell-off. CanadaUS spreads look fair at current levels."